BIRMINGHAM — School business staff briefed the board on state budget changes, several education grant opportunities and a recommended financial‑advisory relationship to pursue higher returns on the school’s reserves.

Staff said the governor signed the state budget on June 27 and that the final plan addressed a roughly $12 billion shortfall using program reductions, reserve draws, loans and a June cash deferral. The deferral will delay a roughly $1.5 million June apportionment to Birmingham until July, staff told the board, requiring the school to manage cashflow in the near term.

Business staff outlined education items in the signed budget: a 2.3% cost‑of‑living adjustment (COLA), a student‑support block grant (the governor’s proposal prevailed at roughly $1.7 billion), partial restoration of pandemic learning‑recovery funding, additional literacy and math coach grants, and competitive school‑meals infrastructure grants. Staff estimated Birmingham’s share of the student‑support grant at roughly $920,000 (per final apportionment) and an estimated learning‑recovery allocation of about $267,000; both are contingent on final state apportionments and eligibility rules.

Staff also noted new state consequences for missing Local Control and Accountability Plan (LCAP) and budget deadlines: the state can withhold funds or impose fiscal penalties for unapproved LCAPs, which increases pressure on districts and charter LEAs to complete the required documents promptly.

To address projected operating deficits and to seek higher returns than the county treasury currently provides, the board’s investment committee ran an RFP for financial advisory services. The committee recommended Fardier Finance Advisors (headquartered in San Francisco, firm materials in the board packet) as a low‑risk, mission‑aligned firm; staff said the firm charges approximately 0.35% annually on assets under active management and that the firm advises nonprofit and education clients. The committee emphasized a cautious, phased approach and risk controls if the board approves moving a portion of reserves into an advised portfolio.

Board members asked whether other local charter high schools had pursued similar arrangements; staff replied that some had and that at least one local charter had realized benefits. The board approved a list of vendor contracts by consent (the agenda item contained multiple vendors and no specific dollar amounts) and approved a tentative business salary item by roll call. Staff said any movement of reserves into an advisory portfolio would be implemented gradually and with policy updates to the board’s investment policy statement.

The board did not finalize a specific transfer amount during the meeting; staff said a separate action and more detailed contract documentation would follow if the board votes to proceed with Fardier Finance Advisors.